Burberry Group (LON:BRBY) Shares Break Above Two Hundred Day Moving Average - What's Next?

Key Points

• Burberry shares rose above their 200-day moving average of GBX 1,102.32, reaching GBX 1,201 before last trading at GBX 1,168.50.
• Recent results showed adjusted operating profit up 225% to £62 million in the first half, with Burberry returning to profit and reporting faster sales growth amid a challenging luxury market.
• Analyst views remain mixed: the consensus rating is Hold with a GBX 1,256.25 price target, while Jefferies maintained an “underperform” rating and GBX 940 target.

Burberry Group plc (LON:BRBY - Get Free Report) passed above its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of GBX 1,102.32 and traded as high as GBX 1,201. Burberry Group shares last traded at GBX 1,168.50, with a volume of 253,360,313 shares trading hands.

More Burberry Group News

These are some of the BRBY news items that stood out recently:

• Positive Sentiment: Burberry’s adjusted operating profit rose 225% to £62 million in the first half, and the company returned to profit. Reports also highlighted faster sales growth despite a difficult luxury-goods market, supporting optimism that its turnaround is gaining traction. Burberry adjusted operating profit jumps 225% as sales growth gathers pace Burberry’s Shares Jump After Sales Defy Tough Luxury Backdrop
• Positive Sentiment: Management sees higher-margin revenues in FY27, adding to hopes that improved product mix and ongoing recovery can support future earnings. Burberry Group Turns To Profit In H1; Sees Higher Margin, Revenues In FY27
• Negative Sentiment: Jefferies reaffirmed its “underperform” rating and GBX 940 price target, signaling that the broker remains cautious despite the improving results. Jefferies rating information

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on the stock. Jefferies Financial Group reaffirmed an "underperform" rating and issued a GBX 940 target price on shares of Burberry Group in a research report on Thursday. Citigroup reduced their target price on Burberry Group from GBX 1,560 to GBX 1,510 and set a "buy" rating for the company in a research note on Wednesday, August 12th. Royal Bank Of Canada downgraded Burberry Group to a "sector perform" rating and cut their price target for the company from GBX 1,400 to GBX 1,200 in a report on Tuesday, September 22nd. Finally, Berenberg Bank reaffirmed a "hold" rating and set a GBX 1,080 price objective on shares of Burberry Group in a research report on Thursday, July 23rd. Four analysts have rated the stock with a Buy rating, two have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of GBX 1,256.25.

Burberry Group Stock Down 1.0%

The company has a market cap of £4.19 billion, a P/E ratio of 198.05, a PEG ratio of 1.66 and a beta of 0.70. The stock has a 50-day moving average of GBX 1,052.73 and a 200 day moving average of GBX 1,102.32. The company has a debt-to-equity ratio of 162.02, a current ratio of 1.87 and a quick ratio of 1.63.

Burberry Group (LON:BRBY - Get Free Report) last announced its quarterly earnings data on Thursday, November 12th. The company reported GBX 3.50 earnings per share (EPS) for the quarter. Burberry Group had a net margin of 0.87% and a return on equity of 2.29%. The firm had revenue of GBX 109.80 billion for the quarter. Research analysts anticipate that Burberry Group plc will post 32.63 earnings per share for the current year.

About Burberry Group

Burberry Group plc, together with its subsidiaries, manufactures, retails, and wholesales luxury goods under the Burberry brand. The company operates in two segments, Retail/Wholesale and Licensing. It provides womenswear, menswear, childrenswear, beauty, eyewear, shoes, and accessories, as well as leather goods, such as bags. The company also licenses third parties to manufacture and distribute products using the Burberry trademarks. It sells its products through Burberry mainline stores, concessions, outlets, digital commerce, Burberry franchisees, department stores, and multi-brand specialty accounts, as well as through Burberry.com website.

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